The Business Year

Octavio Fonseca

DOMINICAN REPUBLIC - Transport

Fast Track

Country Manager, DHL Express

Bio

Octavio Fonseca holds a degree in management and marketing and a master’s in business administration. He has developed a successful career within DHL Express for more than 10 years. During this period he has assumed various positions in the commercial and operations departments both in Nicaragua and the Dominican Republic. He assumed the position of Country Manager of DHL Express Dominican Republic in January 2015.

TBY talks to Octavio Fonseca, Country Manager of DHL Express, on growth areas and the benefits of operating in the Dominican Republic.

What has been DHL’s success strategy in the Dominican Republic and Caribbean?

Part of DHL’s success in the Dominican Republic has been the consistency and alignment with our corporate global strategy, which focuses on three bottom lines: become the provider, employer, and investment of choice in the express shipping and logistics sector. These three bottom lines form the basis of four important pillars; motivated people, great service quality, loyal customers, and a profitable network. Thinking globally and working locally based on customer needs has been a key success in our local strategy.

Which areas in the transport and logistics sector have the biggest growth potential and how will DHL impact these areas?

With technology and e-commerce growth in recent years, B2C solutions are an area that DHL sees as an important source of growth for the express business. Many SMEs are focusing on e-commerce as a way of selling not only locally but also cross border. Manufacturers are also an important part of the e-commerce chain, so the M2C is also an area where we are working to provide new solutions. For these businesses, partnering with a strong logistics brand and offering time definite premium shipping is an excellent way to face the new challenges that e-commerce brings. Premium logistics services—specifically high-speed, time-definite international solutions—are where DHL Express can shine

What are the main challenges that DHL faces in improving air, ocean, road, and rail logistics in the Dominican Republic?

There are a few challenges in logistics processes that DHL Express in the Dominican Republic still faces. Despite many improvements made in Dominican Customs in terms of technology and programs focused on facilitation, there are still opportunities to improve the lead time for the customs processes. Now that the Authorized Economic Operator Program (AEO) has been launched by customs, the processing of organizations certified by the program should improve. This instrument aims to mitigate the security risk in the supply chain but also helps to facilitate trade with the implementation of more expedited processes. DHL seeks to be part of this list of entities certified by the program to assure a smoother customs process that we know will help improve our customer’s experience.

How will the go green solutions help reduce the company’s environmental footprint, while keeping itself competitive?

We consider Go Green, or the “green aspect” when it comes to all of our activities, especially on new projects and investments. In the Dominican Republic, every fleet renewal has a focus on assuring CO2 emissions are reduced. In the case of new facilities, they should have features that help reduce energy consumption. Recycling is an important factor in our offices, especially for items like paper. At DHL Express Dominican Republic, Go Green solutions are not as developed as in other markets. It’s one of our focus areas going forward to adopt some of the Go Green practices we are using in other countries.

What is DHL’s expansion plan for 2017 in the Dominican Republic and the Caribbean in regard to fleet and workforce?

As a result of consistent growth in the express business, DHL Express in Dominican Republic over the last three years has expanded in terms of its workforce by 24%. In terms of its fleet for 2017, we have a fleet renewal plan of about 15 new and more energy-efficient vehicles with a first class corporate image. At the same time, we will expand our route coverage in zones with growth potential in the national territory. This confirms the company’s commitment and confidence in the investment climate in the Dominican Republic.

What are DHL’s main objectives in the Dominican Republic for 2017 and how does it plan on achieving them?

The main objective for DHL Express Dominican Republic is to continue its growth through quality customer service and products that meet our customers’ needs. We have focused our growth on different sources such as SMEs, retail and B2C. But growth isn’t possible if we do not focus on quality in everything we do. To achieve that focus, we expect to drive service improvements in all areas of our operations. We will continue with employee training so they are motivated and empowered and we will continue to develop the tools to simplify our customers’ lives.

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